Antam may close Cikotok gold mine

PT Aneka Tambang (Antam) may close down the operation of its Geomin mining unit in Cikotok, Banten if no solution is made to increase gold production from the mining site, Koran Tempo reported on Wednesday.

Tarjuki, the spokesman for Antam's Geomin Cikotok mining unit, said on Tuesday that gold production had begun to decline since 2003 after it failed to meet production target.

Until December this year, for example, the company's gold production totaled only about 171.13 kg of gold, well below the target of 311 kg.

He said that the mining unit was now in serious financial problems. "There should be a solution such as by inviting investors to save the company and continue its mining activities," he added.

According to him, the mining unit has received funds from Antam's other units in order to able to continue its operation. "Now, the company is again in a serious financial difficulty and need some more funds injection to be able to survive," he said. (*)